Ethereum (ETH/USD) is not moving up as much as BTC/USD… But price is now attempting a new breakout – will this break be different? In my opinion, yes it will. The reason is that a second bullish breakout above the 21 ema is often stronger and more robust.
The main difference between ETH/USD and BTC/USD was simple: BTC/USD had fully daily candles staying above the 21 ema whereas ETH/USD retraced back into the 21 ema zone. For a bullish breakout to really get larger traction to the upside, price will need break above the 21 ema zone with a full candle above it. Reviewing other technical analysis, ETH/USD is showing a higher high and a higher low after bouncing at the 88.6% Fibonacci support level (purple box) so a bullish reversal is starting to take shape, although the rebound has been relatively mild so far. For a larger uptrend to take place, price will need to break above the long term moving average (144 ema close) besides the breakout above the trend lines (dotted orange) and 21 ema zone.
ETH/USD is expected to move up higher with a similar distance as the previous momentum (two blue arrows). Price could of course move up higher if the overall long-term trend is indeed up as many crypto traders (including myself) are expecting. In the near future, ETH/USD will need to break above the mild angled bullish channel (blue lines) for a breakout (green arrow). The breakout above the resistance trend line (red) could see a next breakout (green arrow) to complete a bullish 5 wave pattern. At that point we could expect a bearish ABC (orange arrows) to retest the support zones. If our long-term uptrend is correct, then this is the point where a large bounce and bullish momentum might take place.